NJ Contractor Spring/Summer by Graphtech

Official Magazine for the New Jersey Association of Plumbing-Heating-Cooling Contractors Spring/Summer 2019 â&#x20AC;¢ Volume 15 Number 2

NJ PHCC 189 East Bergen Pl Red Bank, NJ 07701

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NJ CONTRACTOR

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Contents Spring/Summer 2019 • Volume 15 Number 2 New Jersey PHCC 189 East Bergen Place Red Bank, NJ 07701 P: (800) 652-7422 F: (609) 987-0511 director@nj-phcc.org Local Area Meetings Essex CountyPHCC 1st Wednesday Monthly Located at Tierney’s Copperhouse 4 Little Falls Road, Fairfield, NJ Mercer County PHCC 1st Tuesday Monthly Located at Tessara’s 812 Route 33, Hamilton, NJ

President’s Message......................................2 Are You in Tune with Your Employees?.............3 Former Employees—What Can You Say?..........5 Who Knows What to Do in Your Absence?...... 13 Mobile Device Distraction is Not Just a Road Problem............................................ 16 Start With Why?........................................... 18 2019 Plumbing Apprentice Contest............... 19

2019 Executive Committee PRESIDENT John Heine Heine Plumbing & Heating 270 Sparta Ave., Suite 104 Sparta, NJ 07871 (973) 383-0392 PRESIDENT ELECT Stephen Dzieminski Stephen Dzieminski Plumbing 702 President Ave. Lawrence Township, NJ 08648-4429 VICE PRESIDENT Kevin Tindall Tindall & Ranson 880 Alexander Rd. Princeton, NJ 08540 (609) 897-9770

SECRETARY Susan Perlstein-Tavares Frank Perlstein & Son, Inc. 815 S Broad St. Trenton, NJ 08611-1903 (609) 393-4877 (609) 394-5106 (fax) TREASURER Ken Alexander Alexander Plumbing, Heating & Cooling 743 Alexander Rd., Unit 10 Princeton, NJ 08540 (609) 987-2424 (609) 987-9797 (fax) EXECUTIVE DIRECTOR Nicole Urizzo 189 East Bergen Place Red Bank, NJ 07701 (609) 987-0500 (609) 987-0511 (fax) director@nj-phcc.org

Thank You to Our Exhibitors..........................20

DESIGNED & PUBLISHED BY:

Alexis Kierce, Publications Manager 717-238-5751 x119 alexis@thinkgraphtech.com For Advertising Information: Jen Smith, Account Manager 717-238-5751 x124 jen@thinkgraphtech.com

An exclusive publication of the NJ PHCC. The NJ Contractor is published four times a year by Graphtech. Editorial Offices: 189 East Bergen Place, Red Bank, NJ 07701. With the exception of official association announcements, the statements of fact and opinion that are made herein are the responsibility of the authors alone and do not reflect the opinion or philosophy of the officers or the membership of the NJ PHCC. Materials may not be reproduced without written permission from the NJ PHCC headquarters.

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President’s Message Happy Summer to all!!

Our annual PA/NJ Trade Show and Convention met with great

success this year. As usual, Nicole outdid herself with her expert coordination skills; kudos as well as her PA counterpart Mike. Many thanks to all of the vendors who participated in making it a very informative event. It was great to see all of the attendees who took time out of their busy schedules to visit. I'd like to offer a special thanks to the PA trade school students - they were well-mannered and asked some very good questions. I'm sure each of them will be an asset to the trades in the future. My hat goes off as well to all of the participants in the competition. They all brought their best, making it a difficult one to judge. The 2018 Code is now sitting with the Governor's council for review. Hopefully it will soon be signed. On July 11 many will be attending the Code hearing for changes. It will be held at Bally's in Atlantic City. We need as many attendees as possible to express to lawmakers the importance of the Code. I am forming a Membership Recruitment Committee to help get all of the new Licensees on board with us. We need volunteers for this. Please contact Nicole or me if interested.

Sincerely, John Heine President New Jersey PHCC It was an Honor for the New Jersey PHCC President to present Thomas Pitcherello with this year’s Lester Perlstein Award. This award is presented to individuals who have served their industry with honor and distinction. The award was presented along with Lester’s Daughter Susan Perlstein-Tavares.

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NJ Contractor • NJ PHCC

Are You in Tune with Your Employees?

recent Gallop poll found that only 34% of employees are engaged in their jobs. 53% of employees are not engaged, doing the bare minimum to simply remain employed. And 13% are actively disengaged. Those employees would rather be almost anywhere else than at work. While there are likely many reasons for this lack of employee engagement, and they no doubt vary among employees, one of the most common is a feeling that their employer cares little to nothing about what they think or what is important to them. The focus always seems to be on production and rarely on the people that are producing. In some workplaces even a sincere “good morning” is lacking, much less a genuine effort to solicit the employees’ concerns. The purpose of this article is to suggest some proven methods that employers have successfully utilized over the years to obtain employee feedback on issues of concern to them. Such feedback is critical if the company has any hope of truly being in tune with its workforce. The methods outlined here are really nothing more than common sense, things all of us have heard for years. The goal is to create more engaged employees that willingly support the company’s values and mission. The question is how to get there.

Daily Conversations Managers and supervisors, as part of a respectful relationship with the employees they supervise, are in a position to obtain direct feedback on a one-on-one basis in their daily interactions if they make a sincere effort. However, employees must feel comfortable that they can speak honestly and directly without fear of repercussions. Letting them know that candid feedback is welcomed may help open the dialogue. Assurance of non-retaliation by anyone, including other employees, for what they share is sometimes needed. In addition, the reaction to the feedback they share can be critical. And it is important to remember that such conversations are not the time to defend or argue. It is a time to listen respectfully and make an effort to understand the employee’s perspective on whatever issue they choose to discuss.

Exit Interviews Many successful companies continue to conduct the timetested “exit interview” to try to obtain information on why employees have chosen to move on. Management can learn a great deal from such interviews. Most employees that are willing to take the time to be interviewed will generally be candid about their reason for leaving. In today’s hypercompetitive job market employees often leave for only minor improvements in pay and/or benefits. Millennials for example,

who on average move from one job to another every 14 months, are willing to move to gain such minor improvements as one or two more days off per year and are willing to admit it when asked. There has been some criticism of exit interviews because they provide little “real time” input that might have triggered policy changes that convinced a particular employee to remain. Yet they do have value, especially if regularly reviewed to identify patterns in the reasons for employee departures. Sometimes those patterns dictate the need for an immediate change in employment policies or personnel. In general, they provide a “big picture” perceptive on employment conditions in your workplace.

Stay Interviews More recently, forward-looking employers have begun to conduct “stay interviews”. As the name implies, they are intended to secure information about what the company is doing right, why has the employee chosen to remain on the job. Who is selected for a stay interview is not critical as long as a broad spectrum of the workforce is interviewed. Most companies take a sampling of relatively recent hires as well as long-tenured employees. The information obtained facilitates confirmation of what is working and what is not in the area of employment policies. They should therefore be conducted on an on-going basis to be most effective.

Open Door Policy The most commonly used program for obtaining information on what is of concern to specific employees is the old problemsolving standby, the “open door policy”. Most employers have such a policy in place whether it is explicitly stated or not. While employees are free to speak with any member of management or supervision they choose, most employers suggest that employees start with their immediate supervisor and escalate the issue through the management ranks until the matter is fully addressed. Some companies even permit access to the company president or CEO if the employee so desires. However, the “open door policy” approach has at times been criticized as one in which management more often only pays lip service to it and in reality, permits managers to hide behind the open door. If employees are fearful that they may be the focus of management blowback for complaining or if they believe that complaints to management more often result in little or no action, or worse yet, retaliation, the openContinued on page 4

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door policy becomes nothing more than management double talk and will not be used. To be most effective it has to be publicized to employees to the fullest extent possible. More importantly, it has to be seen as a true and consistent means of having workplace concerns addressed by management. Employees need to see it in action.

Suggestion Box A suggestion box as a means of soliciting employee concerns, as trite as it may seem, has the advantage of permitting employees to raise concerns or problem in complete anonymity. They have been in use in many workplaces throughout the country for generations. Some, and perhaps most employees, prefer to remain anonymous when complaining. Like open door policies, suggestion boxes are only used when employees are aware that they exist and that management welcomes and responds to their use. Routinely reporting on issues that were raised through the use of the suggestion box helps call attention to their effectiveness. It is also preferable to have more than one suggestion box per facility. They should be located where employees congregate and spend free time, such as employee cafeterias or

lunchroom. A suggestion box outside the manager’s office will likely go unused.

Senior Management Participation It goes without saying that senior plant management, especially Human Resource professionals, should manage by walking around. Being visible on the production floor on a regular basis helps send the message that management invites employee input and make themselves available to the employees to listen. It is much more likely that an employee will take the opportunity to raise a concern where they are more comfortable talking, the production floor, than in a management office. But management contact with employees should not be limited to the local team. Some of the most effective communications come from one-onone conversations between visiting corporate executives and hardworking employees. Numerous major companies, including such giants as Wal-Mart, routinely have their corporate executives engage the hourly workforce about issues of concern whenever they visit a company facility. Some executives make such plant or facility visits so frequently that they are on a first name basis with many employees. It can be some of the most valuable time these executives spend in the interest of their company. Knowing what your employees think about how they are treated and what issues may be of concern enables management to not only react to immediate problems, but also to anticipate what policy changes should be considered going forward for the company as a whole.

Conclusion The means and methods discussed here for pro-actively seeking out employee problems and concerns are obviously not the only effective methods available. Periodic employee evaluations, employee surveys and similar methods are also quite useful. Whatever means an employer adopts to try to be in tune with their employees’ concerns will no doubt be welcomed by employees. How the employer responds to that information will be the ultimate proof that they care what their employees think. Richard D. Alaniz is a partner at Alaniz Law & Associates, a labor and employment firm based in Houston. He has been at the forefront of labor and employment law for over forty years, including stints with the U.S. Department of Labor and the National Labor Relations Board. Rick is a prolific writer on labor and employment law and conducts frequent seminars to client companies and trade associations across the country. Questions about this article, or requests to subscribe to receive Rick’s monthly articles, can be addressed to Rick at (281) 8332200 or ralaniz@alaniz-law.com.

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NJ Contractor • NJ PHCC

FORMER EMPLOYEES–

What Can You Say?

lmost all employers on a regular basis receive calls from a prospective employer requesting information about a former employee. Today, most employers, fearful of a potential defamation or some similar legal claim, respond with nothing more than the period of employment and position held. Some even decline to respond at all. Rarely does a former employer provide any useful information regarding such things as the person’s job performance, disciplinary action or the reason for their departure. In some instances, responding human resource managers, fully appreciating the dilemma that lack of information creates in a hiring decision, especially if it is negative, will politely ask the inquirer “Do you have any other candidates?” Message delivered! The inability to obtain needed information about a prospective hire can, in some circumstances, create the potential for claims of negligent hiring or negligent retention, especially in today’s litigious environment. Such claims can arise if an employee who was not fully vetted engages in conduct that harms another, often physical assault of a customer or fellow employee. The usual theory is that the employer was negligent by failing to confirm whether the person had a history of criminal assault or similar conduct before hiring them. If the claim is one of negligent retention, the argument is generally that the employer knew or should have known of the employee’s predisposition to engage in violence yet continued to employ the person. The fact that the employer tried but failed to obtain such relevant information despite making sincere efforts is rarely a sufficient defense. Employers, often knowing that they are not likely to obtain useful information, nonetheless make the effort to at least be able to demonstrate that they tried. Compounding this entire issue is the current trend, especially in Blue states and cities, to prohibit employers from delving in to an applicant’s criminal history during the hiring process. The “ban the box” movement is a perfect example. More and more jurisdictions are considering it to be unlawful for an employment application to require an applicant’s criminal history before hiring. In those jurisdictions, such inquiries may only be made after a job offer has been extended.

What Can Employers Do? The answer to what an employer can say when asked about a former employee is simple and relatively straightforward – anything that is truthful and provided in good faith. In recognition of the problems faced by employer’s inability to obtain needed information about an applicant, some states have passed legislation to protect employers from defamation Continued on page 6

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lawsuits as long as they have acted in good faith. To be immune from liability, the employer cannot knowingly or intentionally disclose information that is false or misleading. In an effort to control what information is provided to other employers many companies prohibit managers and supervisors from providing reference information. The process of responding to such inquiries and what is provided in response is limited to the Human Resource manager or some similar individual. At least in theory, a person in a managerial or supervisory position is the “company” for most legal purposes. It is not uncommon for a prospective employer to make direct contact with an applicant’s former supervisor to try to elicit more detailed information. An unwary supervisor could easily make derogatory comments about the former employee in an effort to be honest and help them avoid a hiring mistake. Defamation lawsuits are sometimes the result.

State Regulations and Past Employees Numerous states regulate what an employer can say about a former employee. A few states even require the employee’s consent in order to provide information about their prior employment. In most instances the information that can be disclosed includes the reasons for termination or separation, job performance, job description and duties, length of employment, eligibility for rehire, and in some states, disciplinary matters. Virtually every state provides for employer immunity unless the information disclosed was knowingly false or misleading. A few states provide that the prospective employer must provide a copy of any written communications from current or former employers that may affect the hiring decision. Most states with such a requirement make it contingent upon a written request from the prospective employee, usually within a specified period of applying for employment. There are several states that have adopted laws on so-called “service letters”. Upon request, usually written, a former employer is required to provide the requesting former employee a letter that states the reason for the employee’s termination, and in some states additional information regarding certain aspects of their employment. This generally relates to job duties, job performance, pay rates, and eligibility for rehire. In those states that provide for “service letters”, it has become increasingly common for employee

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advocates and plaintiff attorneys to encourage terminated employees to request such letters. In fact, some employee advocates urge employees that suspect that they may soon face termination to begin arming themselves with documents and other evidence to support a challenge to a potential termination. Concerned employees are told to keep a record of workplace events affecting them, copies of performance reviews, disciplinary actions, wage history, and to keep track of informal comments by supervisors or others made about them. They are advised to ask to see their personnel file and make copies of any performance reviews or reports contained in the file. Providing access to an employee’s personnel file is mandatory in some states, and in some instances former employees can request a copy of their personnel file. For obvious reasons, personnel files should be carefully reviewed before being provided. Quite often documents that had no reason to be included were nonetheless made part of the personnel file.

Conclusion When providing information regarding a former employee, whether in response to a request by a prospective employer, requested by the employee personally, or as part of a statemandated “service letter”, the rule is the same. As long as the information is truthful and provided in good faith, the employer should be immune from any defamation lawsuits. This is one of those rare instances where the old saw “truth is a defense” truly applies.

Richard D. Alaniz is a partner at Alaniz Law & Associates, a labor and employment firm based in Houston. He has been at the forefront of labor and employment law for over forty years, including stints with the U.S. Department of Labor and the National Labor Relations Board. Rick is a prolific writer on labor and employment law and conducts frequent seminars to client companies and trade associations across the country. Questions about this article, or requests to subscribe to receive Rick’s monthly articles, can be addressed to Rick at (281) 833-2200 or ralaniz@ alaniz-law.com.

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The Clear Path to Fast, Simple Growth BY MIKE AGUGLIARO

There are many reasons why you might have started in the trades. Maybe you inherited a family business; maybe (like me) you weren’t academic and wanted a dependable hands-on career; maybe you rose through the ranks of a service business and had the opportunity to acquire it.

Whatever the reason, you’re probably great at your trade… But now you find yourself doing less of the hands-on work, and instead, spending more time running the business. If that’s your situation, then you might find (as I did) that the challenge of running a business is completely new, and completely different, to the hands-on work that you did in your trade. And, perhaps you find (as I did) that it’s comparatively simple to run wire but it’s much harder to plan the growth of a company where more and more team members are depending on you. If you’d like to grow your company, here is a simple-toimplement plan to build your path for growth. It works the same if you’re one guy in a truck as it does for a 200-person company. (I’ve done both; the process is the same, it’s just the numbers that are bigger.) It doesn’t matter if you want to grow to 2 trucks or to $200 million dollars; it doesn’t matter if you want to grow to multiple trade-lines or become a multinational company. This is the simple process to make it happen…

A Simple, Dependable Model For Growth Step 1. It all starts with this: “WHY?” Why do you want to grow? What’s your end-goal? Do you want to build a healthy company that you can exit (as I did) or do you want to pass a bustling business down to your son or daughter? Understand why you want to grow and it will help you determine how to do it. Step 2. Create a painted vision. With your “Why” in mind, create a vision of what you want your company to look like in 3-5 years from now. How much revenue will you generate? How many employees will you have? How will you be known in the community? This doesn’t have to be highly detailed, but it should be inspiring to you. Step 3. Break that vision into steps. You have your vision for 3-5 years, now break it down into 1 year steps. If you’re making less than $1 million now but want to be at $10 million in 5 years, you need to add approximately $2 million (or so) every year. Those are simple benchmarks that you can use to assess where you’re at. Continued on page 10

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NJ Contractor • NJ PHCC

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Step 4. Now think about what you need to do to achieve those numbers. In the example above, how many more jobs do you need to do to close an additional $2 million in sales? This is based on your current prices and conversion. (Also consider: what if you adjusted your prices and conversion rate?) Step 5. Break those numbers down into activities that you and your team need to do. Each team member will probably need to do more or different activities in the future to get you on track toward your benchmarks and your painted vision. NOTE: Resist the temptation to think that you can grow a bigger business without changing how you work. I always say, “The thinking that got you where you are will not get you where you want to go.” In other words, if you want to be bigger, you have to think and act bigger now. An example might be: maybe you have CRSs who answer calls and just “take the order” when someone calls it. And maybe you currently have an install team and you hope that they complete one install within a certain time-frame. Well, if you want to grow by a certain amount this year, you’ll need to look at improving your CSRs’ skills to get them proactively looking for more work, and closing more over the phone, and you’ll need to look at the efficiency of your install team. Step 6. Create KPIs (Key Performance Indicators) around the desired activities for each role. In the example above, your CSRS may need a KPI about how many calls they convert into jobs, and your install team may need a KPI about how many hours they take on each job. Step 7. Now it’s time to implement. Simply get everyone into a room and share your painted vision. Get buy-in from them and get them excited about the possibilities and opportunities of being a bigger, stronger company, and then share how they will be measured on performance going forward.

It all starts with this: “WHY?” Why do you want to grow? What’s your end-goal? Do you want to build a healthy company that you can exit (as I did) or do you want to pass a bustling business down to your son or daughter? Understand why you want to grow and it will help you determine how to do it.

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NJ Contractor • NJ PHCC

Now Get Started That’s it. Growth doesn’t need to be more complicated than that. It’s about envisioning a future and reverseengineering a plan to get there, then making sure everyone knows how they contribute. Your success will depend largely on the following three things: • How well you build a vision and clear steps • How well you communicate it to your team and get their buy-in • How well you maintain momentum in your company

Summary Want growth? Everyone does (we each define “growth” differently but we all want growth). It doesn’t matter if you never went to business school or never read a business book in your life. You don’t need to. This simple list of steps is all you need to get started growing the way YOU want to grow. AUTHOR BIO: Mike Agugliaro is a Business Warrior on a mission to change the lives and businesses of service business owners. Mike and his business partner started and grew a struggling New Jersey electrical company into a multi-million dollar home service empire before selling the company in 2017. Today, Mike is an author, speaker, and mentor to successful service companies; and, he's the cofounder of CEO Warrior, a high-level coaching and training organization for home service businesses. Learn more about Mike and CEO Warrior at CEOWARRIOR.com, contact them at contact@ceowarrior.com, and learn more about their training events at ServiceBusinessGrowth.com. • Have you shared how things are done and where essential information can be found? • Who will meet with potential clients or schedule jobs? • Who, if anyone, has access to bank accounts to pay monthly expenses and make sure payroll is taken care of so your employees are paid on time? • Do your right-hand people know the names and contact information of your business’s advisors, including your CPA, attorney, or insurance professional? You should know the answers to these questions before an unexpected event occurs that might keep you out of the office for a few days, a few weeks, or even longer. Make sure your employees know what to do by holding periodic exercises to gauge their readiness to step in. Don’t let a sudden and unplanned management “fire” threaten the ongoing success of your business.

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Who Knows What to Do in Your Absence? Fires are hazards that we can take steps to minimize and prepare for. We check smoke detectors and change the batteries when needed. We teach our children how to get out of the house and where to meet outside if there is ever a fire in our home. From elementary schools to large corporations, organizations hold drills to make sure everyone knows what to do in the event of an emergency. This concept can, and should, be applied to the operation of your business. Have you held a company “fire drill” lately?

In the unlikely event that you don’t make it to work tomorrow, do your co-owners and key employees know what to do to keep things running smoothly in your absence? If you are the type of business owner who is hands-on and “does it all,” consider the following questions: • Have you shared how things are done and where essential information can be found? • Who will meet with potential clients or schedule jobs? • Who, if anyone, has access to bank accounts to pay monthly expenses and make sure payroll is taken care of so your employees are paid on time? • Do your right-hand people know the names and contact information of your business’s advisors, including your CPA, attorney, or insurance professional? You should know the answers to these questions before an unexpected event occurs that might keep you out of the office for a few days, a few weeks, or even longer. Make sure your employees know what to do by holding periodic exercises to gauge their readiness to step in. Don’t let a sudden and unplanned management “fire” threaten the ongoing success of your business.

Articles provided by Federated Insurance. These articles are intended to provide general information and recommendations regarding risk prevention only. There is no guarantee that following these guidelines will result in reduced losses or eliminate any risks. This information may be subject to regulations and restrictions in your state and should not be considered legal advice. Qualified counsel should be sought regarding questions specific to your circumstances and applicable state laws. © 2018 Federated Mutual Insurance Company. All rights reserved.

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Mobile Device Distraction Is Not Just A Road Problem WHETHER on an active construction site, on a fastpaced manufacturing floor, or in any situation where several activities are taking place simultaneously, attention from everyone is key to helping keep a work environment safe. Distractions on the job can have catastrophic consequences. And while distractions are all around, there is one type that can be easily eliminated: mobile devices. The Myth of Multitasking Safety-minded businesses generally take the necessary step of prohibiting mobile device use while operating machinery or while in areas where potentially hazardous activities are taking place. But without providing context, you run the risk of an employee ignoring the rule and causing an otherwise preventable disaster. Tell your employees this simple fact: People cannot multitask. Sure, the human brain can switch swiftly from task

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NJ Contractor • NJ PHCC

to task. However, it can’t focus on more than one task at a time, even though it appears that way to an outside observer. Imagine a forklift moving a heavy load through a warehouse. The driver can be doing everything correctly — sounding the horn at intersections, driving at a reasonable speed, scanning his or her path for obstructions, etc. — but if other people in the area have their heads down, reading a text message or checking the weather, there’s no telling what could happen. Hands-Free, but Not Worry-Free With increased awareness of the dangers new technology can present, solutions like hands-free accessories have popped up. But the problem is far from solved. Much of the research on using hands-free technology has focused on use while driving, but the lessons learned are easily transferrable to nearly any situation. Even with a Bluetooth headset in his or her ear, a mobile device user is still distracted.

Removal: The Best Solution The best practice is to eliminate the temptation to use mobile devices altogether and require your employees to either keep their phones in their pockets or, better yet, store them away from the hustle and bustle of the work site. Practice what you preach. Job site foremen, managers, and other authority figures should model safe behavior, signaling to employees that casual use of mobile devices without a business purpose has no place on the job. Keeping attention on this important topic is key. Post signs, dedicate a safety meeting to the subject — do whatever you can to let your employees know that mobile devices can be a threat to the safety of everyone on the site.

This article is for general information and risk prevention only and should not be considered legal or other expert advice. The recommendations herein may help reduce, but are not guaranteed to eliminate, any or all risk of loss. The information herein may be subject to, and is not a substitute for, any laws or regulations that may apply. Qualified counsel should be sought with questions specific to your circumstances. ©2019 Federated Mutual Insurance Company.

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Spring/Summer 2019

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Start with Why "If you have no agreement on purpose, then command and control is all you have left." —Dee Hock — founder and former CEO of Visa “Start With Why” is the title of a great book by Simon Sinek. Starting with why is also great advice when you sit down to plan for your organization and your life. But most people will not make the time to do it. Your why is another way to talk about your purpose. It is your reason for doing everything else in life. In the business world, an organization’s purpose is its greater reason for existing. It is how the organization will make a positive dent in the universe. Your purpose is the reason for existing beyond making money. Don’t get me wrong. Making money is a requirement. What we are talking about is having a purpose for making that money. What I find immensely cool is that purpose-driven companies tend to outperform those without purpose. In the study for his book, “Built to Last”, Jim Collins found that “visionary” companies outperformed the marketplace by 15x. To put that in context, $1 invested in a visionary company during the study period would be worth $9,300 after 64 years. The same dollar would be worth if $415 if invested in the general stock market. Collins highlighted multiple differences between the visionary companies and their competitors. The clearest differentiator for the visionary companies was an adherence to a core purpose and core values. Collins called this a “cultlike” culture. There are also studies on the returns of “conscious companies” and companies that are “great places to work” that show returns from 3 to 8 times that of the general stock market. This stuff works. How could adhering to a core purpose and core values lead to outperforming your competition? The answer is culture. An organization’s purpose and values drive the culture of the organization. Peter Drucker was one of the foremost business thinkers of our time. Drucker famously stated that “culture eats strategy for breakfast.” He didn’t mean that strategy is unimportant. He meant that a bad culture will kill a great strategy every single time.

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NJ Contractor • NJ PHCC

Culture is the set of beliefs and norms in an organization that directs behavior. It’s like character for an individual. Individually, we make decisions that we feel are right, but we are also influenced by our peers. This is why our parents always told us to not hang out with the wrong crowd. Our beliefs are influenced by those we spend time with. A well-defined purpose, vision and values are the “true north” for an organization’s culture. The culture requires constant reinforcing, but everyone can always look back to the purpose, values and vision when making decisions. Deviations from cultural norms are discussed in the context of the purpose, vision and values. Rewards and discipline are based on the outcomes achieved and how those outcomes were achieved. A dysfunctional culture kills trust and the ability to get things done. A strong, cohesive culture attracts the right people, builds trust and creates an environment where the right work gets done. That is why culture eats strategy for breakfast. You need a great strategy. You need a great culture to implement the strategy. Because culture can feel so soft and squishy, we often skip over it when discussing strategy. That is why we made a free course available to help you get started. The course is called “Values Driven Leadership” and you can find it at https:// valuesdrivenresults.com/resource-library/. As always, you can reach me at 229.244.1559 if I can help in any way. Curt Fowler is President of Fowler & Company and Director at Fowler, Holley, Rambo & Stalvey. He is dedicated to helping leaders create and achieve a compelling vision for their organizations.

CURT IS A SYNDICATED BUSINESS WRITER, KEYNOTE SPEAKER AND BUSINESS ADVISOR. HE HAS AN MBA IN STRATEGY AND ENTREPRENEURSHIP FROM THE KELLOGG SCHOOL, IS A CPA, AND A PRETTY GOOD GUY AS DEFINED BY HIS WIFE AND FOUR CHILDREN.

2019 Plumbing Apprentice Contest Thank you to our spnsors:

Thank you to the following companies for providing materials for the competition! Stephen Dzieminski Plumbing

NJ Auxillary

Ferguson Enterprises — West Chester

U.S. Supply

Grove Supply — Wayne & Boothwyn

Weinstein Supply — Broomall

IRS Corp

Thank You! We would like to thank all of the 2019 exhibitors who participated in this year's trade show!

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NJ Contractor • NJ PHCC